EQUINOR ASA-SPON ADR (EQNR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EQNR - US29446M1027 - ADR
22.59 USD
-0.23 (-1.01%)
22.81 USD
+0.22 (+0.97%)
EQNR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 210 industry peers in the Oil, Gas & Consumable Fuels industry. While EQNR belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. EQNR has a bad growth rate and is valued cheaply. These ratings could make EQNR a good candidate for value investing.
1. Profitability
1.1 Basic Checks
EQNR had positive earnings in the past year.
EQNR had a positive operating cash flow in the past year.
Of the past 5 years EQNR 4 years were profitable.
EQNR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.22%, EQNR is in line with its industry, outperforming 59.05% of the companies in the same industry.
The Return On Equity of EQNR (14.13%) is better than 77.14% of its industry peers.
With an excellent Return On Invested Capital value of 23.19%, EQNR belongs to the best of the industry, outperforming 97.14% of the companies in the same industry.
EQNR had an Average Return On Invested Capital over the past 3 years of 33.97%. This is significantly above the industry average of 21.09%.
The last Return On Invested Capital (23.19%) for EQNR is well below the 3 year average (33.97%), which needs to be investigated, but indicates that EQNR had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.22% | ||
| ROE | 14.13% | ||
| ROIC | 23.19% |
ROA(3y)11.06%
ROA(5y)6.92%
ROE(3y)32.85%
ROE(5y)20.85%
ROIC(3y)33.97%
ROIC(5y)25.77%
1.3 Margins
EQNR has a Profit Margin (5.35%) which is in line with its industry peers.
In the last couple of years the Profit Margin of EQNR has grown nicely.
EQNR has a Operating Margin of 27.99%. This is in the better half of the industry: EQNR outperforms 69.52% of its industry peers.
EQNR's Operating Margin has improved in the last couple of years.
EQNR's Gross Margin of 48.66% is in line compared to the rest of the industry. EQNR outperforms 58.10% of its industry peers.
EQNR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.99% | ||
| PM (TTM) | 5.35% | ||
| GM | 48.66% |
OM growth 3Y-8.38%
OM growth 5Y5.28%
PM growth 3Y-3.8%
PM growth 5Y23.92%
GM growth 3Y-5.36%
GM growth 5Y-0.73%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so EQNR is creating value.
EQNR has less shares outstanding than it did 1 year ago.
EQNR has less shares outstanding than it did 5 years ago.
EQNR has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.44 indicates that EQNR is not a great score, but indicates only limited risk for bankruptcy at the moment.
EQNR's Altman-Z score of 2.44 is fine compared to the rest of the industry. EQNR outperforms 76.19% of its industry peers.
EQNR has a debt to FCF ratio of 4.56. This is a neutral value as EQNR would need 4.56 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 4.56, EQNR is doing good in the industry, outperforming 67.14% of the companies in the same industry.
EQNR has a Debt/Equity ratio of 0.62. This is a neutral value indicating EQNR is somewhat dependend on debt financing.
EQNR's Debt to Equity ratio of 0.62 is in line compared to the rest of the industry. EQNR outperforms 41.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 4.56 | ||
| Altman-Z | 2.44 |
ROIC/WACC3.43
WACC6.76%
2.3 Liquidity
A Current Ratio of 1.23 indicates that EQNR should not have too much problems paying its short term obligations.
The Current ratio of EQNR (1.23) is comparable to the rest of the industry.
EQNR has a Quick Ratio of 1.12. This is a normal value and indicates that EQNR is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.12, EQNR is in line with its industry, outperforming 58.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
EQNR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -28.57%.
The Earnings Per Share has been growing by 16.82% on average over the past years. This is quite good.
The Revenue has been growing slightly by 2.15% in the past year.
Measured over the past years, EQNR shows a quite strong growth in Revenue. The Revenue has been growing by 10.24% on average per year.
EPS 1Y (TTM)-28.57%
EPS 3Y-2.27%
EPS 5Y16.82%
EPS Q2Q%-53.16%
Revenue 1Y (TTM)2.15%
Revenue growth 3Y4.92%
Revenue growth 5Y10.24%
Sales Q2Q%2.14%
3.2 Future
EQNR is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.15% yearly.
The Revenue is expected to decrease by -4.76% on average over the next years.
EPS Next Y-13.97%
EPS Next 2Y-4.37%
EPS Next 3Y-0.36%
EPS Next 5Y-0.15%
Revenue Next Year-0.07%
Revenue Next 2Y-3.52%
Revenue Next 3Y-1.85%
Revenue Next 5Y-4.76%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
EQNR is valuated reasonably with a Price/Earnings ratio of 9.74.
79.05% of the companies in the same industry are more expensive than EQNR, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.61, EQNR is valued rather cheaply.
A Price/Forward Earnings ratio of 7.60 indicates a rather cheap valuation of EQNR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EQNR indicates a rather cheap valuation: EQNR is cheaper than 87.62% of the companies listed in the same industry.
EQNR is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.01, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.74 | ||
| Fwd PE | 7.6 |
4.2 Price Multiples
EQNR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. EQNR is cheaper than 98.57% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, EQNR is valued cheaply inside the industry as 82.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.35 | ||
| EV/EBITDA | 1.22 |
4.3 Compensation for Growth
The decent profitability rating of EQNR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.58
EPS Next 2Y-4.37%
EPS Next 3Y-0.36%
5. Dividend
5.1 Amount
EQNR has a Yearly Dividend Yield of 6.49%, which is a nice return.
Compared to an average industry Dividend Yield of 3.95, EQNR pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.87, EQNR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.49% |
5.2 History
On average, the dividend of EQNR grows each year by 24.62%, which is quite nice.
EQNR has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)24.62%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
EQNR pays out 101.05% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of EQNR has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP101.05%
EPS Next 2Y-4.37%
EPS Next 3Y-0.36%
22.59
-0.23 (-1.01%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners21.2%
Inst Owner Change14.82%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap56.70B
Revenue(TTM)107.07B
Net Income(TTM)5.73B
Analysts49.44
Price Target24.82 (9.87%)
Short Float %3.9%
Short Ratio8.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.49% |
Yearly Dividend3.02
Dividend Growth(5Y)24.62%
DP101.05%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.96%
Min EPS beat(2)-36.86%
Max EPS beat(2)-1.06%
EPS beat(4)0
Avg EPS beat(4)-18.46%
Min EPS beat(4)-36.86%
Max EPS beat(4)-1.06%
EPS beat(8)3
Avg EPS beat(8)-7.11%
EPS beat(12)6
Avg EPS beat(12)-0.27%
EPS beat(16)8
Avg EPS beat(16)0.87%
Revenue beat(2)2
Avg Revenue beat(2)9.54%
Min Revenue beat(2)8.5%
Max Revenue beat(2)10.59%
Revenue beat(4)3
Avg Revenue beat(4)7.52%
Min Revenue beat(4)-0.15%
Max Revenue beat(4)11.14%
Revenue beat(8)5
Avg Revenue beat(8)3.15%
Revenue beat(12)6
Avg Revenue beat(12)-1.48%
Revenue beat(16)10
Avg Revenue beat(16)-0.2%
PT rev (1m)-2.05%
PT rev (3m)-7.76%
EPS NQ rev (1m)1.34%
EPS NQ rev (3m)-3.87%
EPS NY rev (1m)-1.01%
EPS NY rev (3m)-9.37%
Revenue NQ rev (1m)-1.04%
Revenue NQ rev (3m)-0.4%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.74 | ||
| Fwd PE | 7.6 | ||
| P/S | 0.53 | ||
| P/FCF | 8.35 | ||
| P/OCF | 2.79 | ||
| P/B | 1.4 | ||
| P/tB | 1.66 | ||
| EV/EBITDA | 1.22 |
EPS(TTM)2.32
EY10.27%
EPS(NY)2.97
Fwd EY13.16%
FCF(TTM)2.71
FCFY11.98%
OCF(TTM)8.08
OCFY35.78%
SpS42.66
BVpS16.15
TBVpS13.59
PEG (NY)N/A
PEG (5Y)0.58
Graham Number29.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.22% | ||
| ROE | 14.13% | ||
| ROCE | 29.35% | ||
| ROIC | 23.19% | ||
| ROICexc | 29.7% | ||
| ROICexgc | 32.3% | ||
| OM | 27.99% | ||
| PM (TTM) | 5.35% | ||
| GM | 48.66% | ||
| FCFM | 6.34% |
ROA(3y)11.06%
ROA(5y)6.92%
ROE(3y)32.85%
ROE(5y)20.85%
ROIC(3y)33.97%
ROIC(5y)25.77%
ROICexc(3y)49.28%
ROICexc(5y)37.09%
ROICexgc(3y)53.02%
ROICexgc(5y)40%
ROCE(3y)44.25%
ROCE(5y)33.68%
ROICexgc growth 3Y-4.25%
ROICexgc growth 5Y16.79%
ROICexc growth 3Y-3.9%
ROICexc growth 5Y18.15%
OM growth 3Y-8.38%
OM growth 5Y5.28%
PM growth 3Y-3.8%
PM growth 5Y23.92%
GM growth 3Y-5.36%
GM growth 5Y-0.73%
F-Score5
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 4.56 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 113.26% | ||
| Cap/Sales | 12.6% | ||
| Interest Coverage | 44.4 | ||
| Cash Conversion | 48.43% | ||
| Profit Quality | 118.62% | ||
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 2.44 |
F-Score5
WACC6.76%
ROIC/WACC3.43
Cap/Depr(3y)119.04%
Cap/Depr(5y)96.27%
Cap/Sales(3y)9.19%
Cap/Sales(5y)11.03%
Profit Quality(3y)100.41%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.57%
EPS 3Y-2.27%
EPS 5Y16.82%
EPS Q2Q%-53.16%
EPS Next Y-13.97%
EPS Next 2Y-4.37%
EPS Next 3Y-0.36%
EPS Next 5Y-0.15%
Revenue 1Y (TTM)2.15%
Revenue growth 3Y4.92%
Revenue growth 5Y10.24%
Sales Q2Q%2.14%
Revenue Next Year-0.07%
Revenue Next 2Y-3.52%
Revenue Next 3Y-1.85%
Revenue Next 5Y-4.76%
EBIT growth 1Y-3.66%
EBIT growth 3Y-3.87%
EBIT growth 5Y16.06%
EBIT Next Year29.65%
EBIT Next 3Y5.75%
EBIT Next 5Y1.93%
FCF growth 1Y-57.61%
FCF growth 3Y-27.45%
FCF growth 5Y17.48%
OCF growth 1Y-22.67%
OCF growth 3Y-11.3%
OCF growth 5Y7.9%
EQUINOR ASA-SPON ADR / EQNR FAQ
What is the ChartMill fundamental rating of EQUINOR ASA-SPON ADR (EQNR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to EQNR.
Can you provide the valuation status for EQUINOR ASA-SPON ADR?
ChartMill assigns a valuation rating of 7 / 10 to EQUINOR ASA-SPON ADR (EQNR). This can be considered as Undervalued.
Can you provide the profitability details for EQUINOR ASA-SPON ADR?
EQUINOR ASA-SPON ADR (EQNR) has a profitability rating of 7 / 10.
What is the valuation of EQUINOR ASA-SPON ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EQUINOR ASA-SPON ADR (EQNR) is 9.74 and the Price/Book (PB) ratio is 1.4.
Can you provide the financial health for EQNR stock?
The financial health rating of EQUINOR ASA-SPON ADR (EQNR) is 5 / 10.